IMF Approves Ksh255 Billion Loan To Kenya To Fight Covid-19

International Monetary Fund(IMF) has approved Ksh255 Billion to Kenya aimed at supporting Covid-19 response in the country.

IMF Approves Ksh255 Billion Loan To Kenya To Fight Covid-19

It is confirmed that Ksh33.5 Billion will be disbursed next week to support covid-19 pandemic response efforts. On Tuesday, the Central Bank Of Kenya Governor Patrick Njoroge stated that Kenya was hopeful the loan facilities would be approved by Friday and disbursed early next week.

He added that the main thing is that the loan will support the Covid-19 response and budget support. It anchors fiscal consolidation through revenue driven policies which minimize debt vulnerabilities and that this is the key element in the program.

A staff level agreement was reached on February 15 on the disbursement of Ksh263.4 Billion Loan over a period of three years which was meant to facilitate Kenya's debt and boost the economy post-covid-19 pandemic.

Mary Goodman an IMF staffer stated that the program will support the next phase of the country's Covid-19 response and the authorities plan for a strong multi-year effort to stabilize and begin reducing debt levels relative to GDP, laying the ground for durable and inclusive growth over the years to come.